SkyMall Files For Bankruptcy — What Took So Long?

SkyMall has filed for Chapter 11 bankruptcy. File this under “what took so long?”

Via CNBC:

Xhibit Corp, the publicly traded company behind SkyMall LLC and several other subsidiaries, said it’s facing a severe liquidity crisis and would look to sell its assets as a going concern. Shares of Xhibit, which has a market cap of about $8 million, surged 43 percent on the over-the-counter market after the announcement.

SkyMall, once the sole catalog provider for airline passengers, has faced increased competition from e-commerce providers, such as Amazon.com and eBay.com.

The SkyMall business generated revenue of about $33.7 million in 2013, but only $15.8 million for the nine months ended September 28, 2014.

Hmmm, to clarify, SkyMall really viewed Amazon and eBay as being their competition? As opposed to Rubik’s cubes, crossword puzzles, and biting fingernails? šŸ˜‰

Nobody actually wanted to read SkyMall, but they had a captive audience from the time the cabin door closed to the time electronic devices could be used, and then from the time electronic devices had to be turned off to the time the plane landed. With electronic devices now being allowed in all stages of flight, that’s not the case anymore.

Good riddance to SkyMall, and RIP to the Zombie Gnombie Statue.

Garden-Gnome

Comments

  1. their catalog was fascinating and entertaining. they will be missed on those long flights in coach. it often felt like they scouted the world for the most ridiculous items just to entertain people on a plane.

  2. @Lantean – I agree. Catalog was entertaining on so many levels. First, ridiculously entertaining products… then ridiculously entertaining prices … then there’s the entertainment value of imagining what fools would buy the stuff. Maybe they could reincarnate themselves as an iphone app, so we could still enjoy.

  3. There used to be a similar insert in the UK Sunday papers. Full of tat that you had to wonder why anybody would even think about buying. Obligatory reading none the less. I’ll miss my bit of nostalgia on US flights šŸ™‚

  4. You have ruined my Friday, Lucky. Really really have. I used to get a copy every time I flew AA and find the weirdest stuff ever and bring to my friend Ian back in the UK and he would have tears in his eyes. I now feel guilty that I did not steal the magazine on my last AA flight. Damn, it!

  5. Now that Garuda has been elevated to a five start airline when should we expect a trip report? I assume delta miles can be used?

  6. Years ago I accidentally took the SkyMall catalogue off my Delta flight from Atlanta to London and onto my Saudia flight to Jeddah. That thing was the biggest hit, especially among the women who giggled with delight. It started out in business but made its way into coach, where it ultimately disappeared.

  7. @ Marcus — I’d love to review their first class product, though there’s no practical way to redeem miles for it. I guess I’ll review their business class at some point, since it’s actually attainable.

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